§88-84  Ordinary death benefit.  (a) Upon receipt by the system of proper proof of a member's death occurring inservice or while on authorized leave without pay, there shall be paid to themember's designated beneficiary an ordinary death benefit consisting of:

(1)  The member's accumulated contributions and, if nopension is payable under section 88-85, an amount equal to fifty per cent ofthe compensation earned by the member during the year immediately preceding themember's death if the member had at least one year but not more than ten fullyears of credited service, which amount shall increase by five per cent foreach full year of service in excess of ten years, to a maximum of one hundredper cent of the compensation; provided that if the member had at least one yearof credited service, the amount, together with the member's accumulatedcontributions shall not be less than one hundred per cent of the compensation;

(2)  If the member had ten or more years of creditedservice at the time of death in service, and the death occurred after June 30,1988, the member's designated beneficiary may elect to receive in lieu of anyother payment provided in this section, the allowance that would have beenpayable as if the member had retired on the first day of a month following themember's death, except for the month of December when retirement on the firstor last day of the month shall be allowed.  Benefits payable under thisparagraph shall be calculated under option 3 of section 88-83 and computed on thebasis of section 88-74, unreduced for age; or

(3)  If the member was eligible for service retirementat the time of death in service, the member's designated beneficiary may electto receive in lieu of any other payment provided in this section, the allowancethat would have been payable as if the member had retired on the first day of amonth following the member's death, except for the month of December whenretirement on the first or last day of the month shall be allowed.  Benefitspayable under this paragraph shall be calculated under option 2 of section88-83 and computed on the basis of section 88-74.

(b)  If the member's designation of beneficiaryis void as specified in section 88-93, or if the member did not designate abeneficiary, there shall be payable:

(1)  To the surviving spouse or reciprocalbeneficiary, a benefit as specified under subsection (a)(1), (2), or (3);

(2)  To the deceased member's children under ageeighteen, if there is no surviving spouse or reciprocal beneficiary, an equallydivided benefit as specified under subsection (a)(1); or

(3)  To the deceased member's estate, if there is nosurviving spouse or reciprocal beneficiary and no children under the age ofeighteen, a benefit as specified under subsection (a)(1).

(c)  For the purposes of this section, a yearround school employee shall be considered in service during the July and Augustpreceding a transfer to a traditional school schedule if the employee was inservice for the entire prior school year and has a contract for the upcomingtraditional school year.

(d)  The application for ordinary deathbenefits shall be filed no later than three years from the date of the member'sdeath. [L 1925, c 55, §6(8); RL 1935, pt of §7925; RL 1945, §708, subs 8; am L1949, c 200, §1; am L 1951, c 127, §1; RL 1955, §6-51; am L 1963, c 127, §12;am L 1967, c 247, §1; HRS §88-77; am L 1969, c 110, pt of §1; gen ch 1985; am L1987, c 299, §2; am L 1988, c 41, §3 and c 242, §1; am L 1993, c 67, §1; am L1994, c 108, §3; am L 1997, c 212, §4 and c 383, §28; am L 2002, 128, §8; am L2006, c 169, §14; am L 2007, c 215, §14]

 

Attorney General Opinions

 

  Because of operationof renunciation of succession pursuant to Uniform Probate Code, beneficiary,deceased parent, was deemed to have predeceased member; thus, only remainingbeneficiary was remaining parent, and employees’ retirement system may paymember's benefits to sole remaining beneficiary.  Att. Gen. Op. 97-3.